Received Rating today!

dkokoszka

PEB Forum Regular Member
PEB Forum Veteran
Here goes: I received my rating today!!

Army (AGR) 23 years active service: 57.5%

Under the High 3: Approximately $4400. per month for E-7

Rating: 80% Permanent

NOT combat related

I am under the "old system"

Total time in MEB/PEB: 1 Year 1 Month. 10 Months MEB Process, 3 Months PEB process to get 80% permanent rating.

QUESTIONS:

IF I get 80% from the VA and I now know my disability rating is 80% from the Army

How much can I expect from the VA (CRDP more than 20 years)?

Since my disability rating is 80% (Army) BUT MY LENGHT OF SERVICE RETIREMENT WOULD HAVE BEEN 57.5% am I still going to get something from the VA?

I hear the computations can NOT be more than what you would have received from a normal lenght of service retirement which would have been 57.5%.

Can anyone shed some light on this?

Thanks
 
Dear maparker:

The Special Rules for Chapter 61 Disability Retirees (letter (b) ) is very confusing to me.

Can you please give me an pretend example of what this section is talking about when it says:

"...... is subject to reduction under sections 5304 and 5305 of Title 38, but only to the extent that the amount of the member's retired pay under Chapter 61 of this title exceeds the amount of the retired pay to which the member would have been entitled under any other provision of law based upon the member's service in the uniformed services if the member has not been retired under chapter 61 of this title."

Does this mean there are situations where a Chapt 61 with a 20-year letter, who receives a military disability retirement percentage GREATER (ex:70%) that what they would have normally received (ex:50% from regular 20-year retirement) - that there is some sort of offset on CRDP?

It's so hard to read and understand this legal stuff sometimes.

Would you help me make sense of this please?

v/r,
nwlivewire

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icon1.png
Re: CRDP with PDRL?


Yes, it means CRDP will be reduced by the amount the disability retirement exceeds the amount of retirement based on length of service.

Mike​


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If you go to the search box on this website, and type in CRDP, there are a lot of threads posted under that topic that will answer your questions.
 
That is my question exactly!!! How do you figure this out? What does it mean in dollars (reduced)
Yes, it means CRDP will be reduced by the amount the disability retirement exceeds the amount of retirement based on length of service.

Mike

Is there a formula that does the computation?

Given I am getting 80% (75% really) from DOD and LETS SAY 80% from the VA, how much will I get in total.

Married, no children.

Thank you
 
If your disability retirement is $5,000 and your LOS based retirement is $4,000, the $1,000 is deducted from the amount of CRDP owed. If CRDP is $2,000, then you would only get $1,000. At the end of the day, you should get from DoD and and the VA, an amount equaled to your total VA and your DoD LOS retirement amount.

Mike
 
Thanks, I think MY confusion is when I started this whole process. Why go through a MEB/PEB (In my situtaion) IF what ever you get in disability % is higher than a LOS retirement, Since it will be deducted from future VA payments.

I keep hearing you cant lose any money going through the meb/peb process. I say you can, VA payments are Tax free.

So yes I was awared 80%, 75 % pay max, so the extra 17.5% (LOS = 57.5% minus PEB award 75% max) will be offset from future VA payments which would have been tax free.

Maybe I am still confused.

Thank you for your time.
 
Is it possible that there might be a percentage of your military retirement pay that is tax free based on your percentage of disability?

Just wondering......

Yep. Maparker is right on what he says about Chapter 61 medical retirees with a 20-year letter. If your disability percentage is greater than your LOS percentage, there's a subtraction. That's why I was wondering about the tax-exemption part - if that is true? - since you're awarded a disability retirement.



I think that really sucks, too.
 
I am just so tired about this whole situation and not knowing the REAL answers.

You cant get a straight answer to anything.

Not blaming anyone here, just venting.

Thank you.
 
dkokoszka

Here is what I believe to be true.


You will receive the 75% from the DoD for the 80% disability because it is capped by law, taxed unless combat related and then only the percentage that was caused by combat.
Once you receive your VA rating (assume 80% for discussion) you can select to receive the VA over the DoD and your pay will decrease to the 57.5% (23 year retirement), VA is tax free and retirement is taxed.

You can not receive 75% from DoD and 80% from VA bacause they are both for the same disabilities.

Why put yourself through this nightmare instead of retiring? I still don't understand and I hate myself for doing this to my family and myself.
I plan on excepting whatever the IPEB gives me because I don't understand the difference and can't get a good answer. I can't get the PEBLO or anyone else on this base to do their job correctly and I'm constantly getting screwed. I plan on waiting until I go to the VA for a new screwing and seeing what they come back with and will try to get my records corrected later.

Having said all this, I too should be getting 57.5% retirement and figuring the low end, at least 70% from the AF depending on mental health because that narrative (only narrative I had) made me think I am much worse than I thought, severe and interferring in all aspect of life. I should know this week I hope, what I am being offered from the IPEB and actually would like to go to the FPEB to visit my daughter but don't want to abuse the system.

Does anybody who had been through this mess and know the answer either clarify my thoughts or please correct me.
 
My take on your situation:

DOD: 80% MAX 75% by law. This is based on your E-7 basic pay depending on your years of service (taxed).

OR

VA- will evaluate you and most of the time is higher; MAX would be 100%, $2,900 max (tax free).

Remember: VA rates are based on the percentage (a chart). Meaning a PVT at 80% and Colonel under these conditions will receive the same monetary amount. The DOD is different (above).

The end result; whichever one is more advantages on your behalf will be given.

-Special Note: VA can change at any time based on if your issue got worse or better. DOD can NEVER change.

Hope this helps.

I am very positive I am center mass but I am sure someone will let me know if I am wrong.
 
Sir, I have over 20 years of Active Service. I think I am entitled to both VA and DOD Disability payments.

Becuase my lenght of service retirement WOULD HAVE been 57.5% (23 Years) and now I was awarded 80% (75% max)

I believe the EXTRA 17.5% is deducted from any future VA payments. This is the question I Have.

I believe by law, there is a "reduction"

You are stating something different.

Not getting upset with you, but as you can see, I have received different opinions on this topic.

This is why I get so upset, no real answers. There HAS to be an answewr to my question.
 
Maparker explained it.

I quoted the regulation in an earlier posting to you in this thread.

I wish there wasn't an "offset" with your situation - but there is.

I'll be in the same boat you're in pretty soon, and I'm not happy about it either.

But the fact is that Congressional NDAA says there is a limit to the amount of CRDP you are awarded.

If you have a 20-year letter, and, your military disability % is greater than what you would have received by virtue of a LOS retirement - that's your CRDP limit.

"...... is subject to reduction under sections 5304 and 5305 of Title 38, but only to the extent that the amount of the member's retired pay under Chapter 61 of this title exceeds the amount of the retired pay to which the member would have been entitled under any other provision of law based upon the member's service in the uniformed services if the member has not been retired under chapter 61 of this title."

Go do a Google search for CRDP and you will find all the major military newspaper articles that reference this, as well as the real Congressional legislation (though it's easier to read the laymans news that read legal stuff!)

Basically, you won't get any more CRDP than if you had retired under your regular LOS retirement. That's the limit.

But you won't get less.

That's how I interpret it anyway.
 
http://www.moaa.org/
THIS IS FROM THE MOAA OFFICIAL WEBSITE. HOT OFF THE PRESS!

CRDP Payment Process




2011/07/18

How much compensation will I receive?

CRDP is being phased-in over a ten-year period that began in 2004. The VA Waiver in your retired pay is being reduced by 10% per year so that by 2014, disabled retirees with 50% or greater VA ratings will be entitled to full military retired pay and VA disability compensation. CRDP cannot be greater than your VA Waiver amount.

How is CRDP paid?
CRDP payees receive two payments. One is your VA compensation and one is your Service retired pay. CRDP is incorporated in your Service retired pay. The CRDP amount is phased-in so as CRDP rises, the VA Waiver amount will decrease. In 2014, when CRDP is fully phased-in, the VA Waiver will go away.

Will CRDP take into account dependent compensation?
Allowances for dependents are included in calculating the amount of increase in retired pay you will receive for that year.

Will CRDP take into account Special Monthly (SMC) compensation?
SMC is included in calculating your overall compensation.

I received a disability retirement from my Military Service after 20 years of active duty. Does this affect my compensation?

You will still be eligible for CRDP but you will probably see some adjustments to the amount you receive. Your Military Service awarded you a medical disability retirement (chapter 61), which probably provides you extra pay for your disability. CRDP restores’ retired pay’ not ‘disability pay.’ So your CRDP is based on the amount of retired pay you receive due to your length of service—longevity. Your CRDP could be less than your total retired pay because your total pay also includes an amount for your disability. By law, you cannot receive two disability pays for the same disability. This would occur if you get disability pay in your Service check and from the VA.

How will my Special Compensation for Certain Severely Disabled Retirees (SCSD) (i.e. "old special compensation") be affected?
SCSD payments were repealed January 1, 2004 since the first increment of concurrent receipt will be bigger than SCSD for all recipients. SCSD was paid to retirees with at least 20 years of Regular service who incurred VA disability ratings of 60% or higher within 4 years after retiring.

Are Reservists and National Guard eligible?
Yes, all Reservists and National Guard receiving longevity retirement--twenty "good years" for retirement purposes—are eligible for CRDP. Grey area retirees become eligible for CRDP at age sixty when they begin to receive retired pay.

Are Temporary Early Retirement Authority (TERA) retirees eligible?
TERA retirees are eligible for CRDP.

Are Chapter 61 retirees (medical retirees) with less than 20 years eligible?
No. MOAA continues to fight for CRDP for medical retirees with less than twenty years. Chapter 61 retirees with less than 20 years may be eligible for CRSC though. For CRSC information see MOAA's Eligibility Information.

Are surviving spouses eligible?
CRDP does not apply to survivors.

Are former spouses eligible?
CRDP restores retired pay and under the Uniformed Services Former Spouses Protection Act (USFSPA) retired pay is considered marital property subject to division in a divorce. Therefore, former spouses who have been awarded a portion of the service member’s retired pay should receive an increase in the portion as the member’s retired pay is increased under CRDP.

When will my compensation begin?
CRDP is automatically added to the monthly retired paychecks of eligible retirees. If you have not yet received CRDP, you may wish to contact the Defense Finance Accounting Service (DFAS) at their toll-free number (800) 321-1080.

Will the pay be retroactive?
All compensation will be retroactive to the date you became eligible for CRDP. Retroactive payments for CRDP can be retroactive back to January 1, 2004.

Is the compensation taxable?
CRDP payments are taxable according to your current retired pay Federal Income Tax Withholding (FITW) tax rate and may affect the amount you wish to have deducted for State Income Tax Withholding (SITW).

© Copyright 2011 Military Officers Association of America
MOAA is the nation's largest and most influential association of military officers.
It is an independent, nonprofit, politically nonpartisan organization.



201 N. Washington St., Alexandria, Va. 22314
(800) 234-6622
 
Please remember that dkokoszka has more than 20 yrs AD.

I went to the VA transition office and forgot that they were not much help months ago.
We took $2414 for retirement pay at 57.5% for 23 yrs AD, this may be wrong but should be close because it is my number.

So using the $2414 for 57.5% retirement, I came up with $3271.59 per month from the CRDP calculation.

If it was just retire pay and VA 80% disability Married only, it would be $3917.06 but we know this is suppose to be wrong.

The VA Rep stated that he knows what he is talking about from the people he helps and he tells me he should be getting 75% retire pay (Max Allowed) (Army rated 80%) and 80% VA pay (or whatever they (VA) decides).

So assuming your high 3 average is $4199, 75% would be $3149.25 before taxes and with the CRDP which decreases every year until 2014 your Army pay would be about $3091.93 per month before taxes. Your VA would be $1547 per month for a grand total of $4638.93 per month.

I don't think the VA Rep is correct because that would mean he (me as well) would be collecting disabilty twice for the same problems.
So as you can see, I'm so confused.

Looking for factual info not the Reg because I read it many times and still don't understand it.
Thanks
 
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